Despite Fed Hawkishness  Recent Inflation Data Give Markets Hope

The financial markets were “mixed” this week (ended June 14) with the tech sectors moving smartly ahead while the more traditional sectors lagged. The S&P 500 (+1.6%) and the Nasdaq (+3.0%) both closed higher. But the industrial stocks were flat to down as represented by the Dow Jones Industrials which were off -0.8% for the […]

A Strapped Consumer = A Slowing Economy

Rampant CRE Foreclosures Portend Something More Sinister Financial markets closed the week mixed with the Nasdaq rising +1.4% and closing at a record high thanks to the huge Nvidia beat on both top and bottom lines. The S&P 500 was flat on the week (+0.3%) while the Dow Jones, with its 606-point (-1.5%) dive on […]

When “Bad News” Becomes “Good News”

While Tuesday’s Producer Price Index (PPI) for April came in hotter than expected (+0.5%), markets took the bad data in stride, perhaps because the year/year change on the headline index was still only 2.2% (2.4% for the “core,” i.e., ex-food and energy). Another reason for the lack of market volatility from the release may have […]

Employment Numbers Mislead, the Coming Banking Crisis, and Why Inflation Will Moderate

For most of last week (ending April 5th), financial markets were worried about the upcoming employment report, and when markets fret, the indexes languish. But after Friday morning’s “strong” (on the surface) employment report, those markets breathed a sigh of relief and reversed a major portion of the week’s losses. Still, the week ended showing […]